State
Intervenes to Prevent Con-Artist from
Using Bankruptcy to Avoid Paying Debt
to Consumers

The
Attorney General’s Office and the
Division of Consumer Affairs have filed
a complaint in U.S. Bankruptcy Court to
preserve claims for money owed to New
Jersey consumers and the State by an Essex
County businessman accused of fraud, State
Attorney General Peter C. Harvey and Consumer
Affairs Director Kimberly Ricketts announced.

"Con artists who swindle consumers
out of their hard-earned cash must be
held accountable for their actions,"
said Acting Governor Richard J. Codey.
"Filing bankruptcy to avoid paying
your debt is not an option in New Jersey."

A complaint was filed against Daniel T.
Salomon in Essex County Superior Court
on April 6, 2004 alleging that he violated
the Consumer Fraud Act and the Used Car
Lemon Law in connection with his used
car businesses, TradeLease and Anatres.
Specifically, the suit alleges that Salomon
obtained money by false pretenses and
false representations by practices including;
collecting fees that were not owed, converting
sales into leases without permission,
withholding titles, failing to honor the
terms of warranties, failing to provide
necessary refunds and failing to forward
consumer payments to leasing companies.
The State has asked the Superior Court
to assess against Salomon the maximum
civil penalties allowed under the Consumer
Fraud Act.

The bankruptcy complaint was filed on
September 30, 2005 and asks the court
to find that the consumer restitution
and civil penalties owed by Salomon are
non-dischargeable. The court has not yet
announced a decision on Salomon’s
request for bankruptcy protection.

"We are putting con artists on notice,"
Director Ricketts said. "You cannot
cheat consumers and get away with it by
filing for bankruptcy. We will use the
full extent of the law to make sure you
pay what you owe."